Ensure your premises are being used for a commercial purpose
Commercial leases are distinctly different from residential and retail leases. It is imperative you are aware of this, so that you use the correct documentation.
The individual clauses in this lease agreement can be tailored to meet the specific business needs of the tenant that plans to operate on the property.
Both residential and retail leases are governed by state specific legislation. This legislation sets out specific rules and procedures which must be followed when entering into a residential or a retail lease. If your property is being used for the retail of goods or services to the public, or as a place of residence, you will need to make sure you use the appropriate retail or residential lease.
There is no legislation governing commercial premises.
What is included in a commercial premises lease?
A commercial property lease will set out the terms and conditions that both the landlord and tenant will be bound to. It will state the address of the commercial premises, the term of the lease and any options, the rental amounts and bond details.
There is a lot that needs to go into this type of lease. Since it will hold a business, these leases often last for many years. They need to explicitly state the terms of liability, renewal, assignment rights and other issues.
The individual clauses in the lease can be tailored to meet the specific business needs of the tenant that plans to operate on the property. You need to be sure it gives enough latitude so the tenant can run their business their way.
However, you must also ensure that the landlord and the landlord’s property is well protected.Commercial Property Lease Agreement Template Download
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